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Huawei blocks Nokia Siemens' Moto buy

26 января 2011

A U.S. district court judge on Monday granted Huawei a temporary injunction that effectively prevents Motorola from closing the sale of its networks business to Nokia Siemens Networks, at least for now.

Earlier Monday Huawei filed a lawsuit against Motorola to stop it from "illegally transferring Huawei's intellectual property (IP) to Nokia Siemens Networks". In a nutshell, the Chinese vendor claims that Nokia Siemens' planned $1.2 billion acquisition of Motorola's wireless networks business would see confidential Huawei information passed to one of its biggest rivals.

Huawei and Motorola have worked together in the radio access and core networks spaces since 2000, a relationship that resulted in Motorola reselling Huawei products under its own brand, the suit asserts. "During this period, Motorola was provided with products and confidential Huawei IP," the Chinese vendor claimed, adding that the transfer of this IP to Nokia Siemens would cause it to "suffer irreparable commercial damage".

A Northern District of Illinois court judge on Monday partially upheld Huawei's complaint and ordered Motorola to refrain from disclosing any confidential information to Nokia Siemens. Judge Sharon Johnson Coleman also instructed Motorola and NSN to inform the court within 24 hours should they receive a decision on the sale from China's Ministry of Commerce.

Earlier this month Nokia Siemens revealed that the closing of the transaction would be delayed as it had yet to get the go-ahead from the antitrust arm of China's Ministry of Commerce.

The judge also ordered Huawei and Motorola to "agree upon the terms of a protective order and submit their proposed order to the Court's proposed order mailbox within 24 hours".

Although the legal spat will not in itself prevent the Motorola/Nokia Siemens deal from closing, it will almost certainly further delay the transfer of assets.

Источник: Total Telecom

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